IMF's Lipsky: US deficit reduction critical

The IMF'S first deputy managing director, John Lipsky, warned on Saturday that the United States must start down a budget deficit-cutting path relatively soon or face crushing debt service costs as interest rates rise.

January 09, 2011 / 11:26 IST

The IMF's first deputy managing director, John Lipsky, warned on Saturday that the United States must start down a budget deficit-cutting path relatively soon or face crushing debt service costs as interest rates rise.

"Time's a-wasting. It is critical to lay out the basis for credible medium-term fiscal adjustment," he said at the annual American Economics Association conference.

first published: Jan 9, 2011 10:55 am

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